James Oberstar: “an hour or so ago the U.S. Department of Justice announced that they will file suit to block the proposed merger of…”

“an hour or so ago the U.S. Department of Justice announced that they will file suit to block the proposed merger of United Airlines and U.S. Airways. That announcement is the best news in U.S. aviation since deregulation. The decision by the Justice Department to oppose the merger of United and U.S. Airways will keep airline competition alive. It will spare the flying public the increased costs, reduced competition, and deteriorating service that would have resulted from this merger, which in turn would have precipitated the consolidation of all of the remainder of domestic air service into three globe straddling mega carriers. The Department of Justice and the Department of Transportation must now continue their vigilance to maintain strong and healthy competition in aviation and prohibiting barriers to competition that result from mergers, from biased reservation systems, and from predatory pricing practices. I congratulate the Justice Department for completing a thorough painstaking analysis of this proposed merger, reviewing its effects on hub-to-hub nonstop service in currently competitive markets, on the down-stream effect on remaining mergers, as well as the consequences for international competition.”